Forfas warns on oil dependency
Forfas has warned that Ireland is more dependent on imported oil for transport and energy than almost any other EU country.
The agency which advises the government on science, innovation and technology has warned that Ireland is particularly vulnerable to an oil shock either as a result of high prices or oil shortages.
Forfas in a report has called for a national strategy to deal with what it has called a serious challenge to the Irish economy which is at risk from rising oil prices and to falling supplies.
The agency has warned that it is likely that within 10 to 15 years, current oil supply will no longer be capable of satisfying world demand at present prices.
Forfas has forecast that reducing Irish dependence on oil will take at least 10 years and has warned that the Government needs to develop policies to deal with such an eventuality.
In 2002, Ireland ranked as the third highest consumer of oil per head of capita in the EU's 25 member states and consumption of oil has doubled since 1990.
